University of North Florida
Board of Trustees
Finance and Audit Committee

Budget Workshop

May 12, 2011
University Center at 2:30 p.m.

Minutes

Committee Members Present

Matthew Brockelman, Wanyonyi Kendrick, Oscar Munoz, Bruce Taylor

Committee Members Absent

Hugh Greene, Joannie Newton, Kevin Twomey

Item 1 Call to Order

Chair Munoz recognized a quorum and called the meeting to order.

Item 2 Proposed Tuition and Fees

Chair Munoz asked Vice President Serwatka to speak about this item.

Vice President Serwatka stated that the administration was asking this committee to approve a 15 percent tuition increase for in-state undergraduate students (8 percent tuition and 7 percent differential tuition), out-of-state undergraduate students (with an exception to the out-of-state quota), in-state graduate students, out-of-state sign language interpreter training, in-state nurse anesthetist and DPT students, and out-of-state nurse anesthetist and DPT students. He clarified that the 15 percent tuition increase would not apply to the out-of-state graduate programs.

Trustees expressed concern for the out-of-state graduate students, noting that a quality education would benefit from a combination of in-state and out-of-state students. President Delaney responded that, although graduate tuition did not always follow the same protocol as undergraduate tuition, the administration would follow this closely.

Trustees asked about the effects of a tuition increase on financial aid. The administration responded that 30 percent of revenues collected in tuition differential would go to need-based financial aid. In addition, students were charged an additional fee equal to 5 percent of tuition that also went to financial aid.

Chair Munoz asked for a MOTION for approval to forward this item to the full Board. A MOTION was made and seconded, and approved as presented.

Item 3 Discussion on the Budget

Chair Munoz asked Vice President Shuman to present this item.

In discussing the budget for the upcoming year, Vice President Shuman talked about the cutbacks in certain resources and the increases in other funding streams and the need for greater reliance on nonrecurring resources. During the past year the university had a base allocation of $131 million. For the upcoming year this base allocation would be $127 million, leaving a $4 million budget cut.

Tuition and tuition differential increases accounted for an additional $5 million. New PO&M funding accounted for an additional $1.2 million and there was a $1 million increase in the lottery allocation. At the same time, $5.6 million dollars was cut from the base with the elimination of the federal stimulus dollars and there was a $6.7 million reduction in funding in the general revenue allocation.

To work within this reduction in allocation, the university will need to use recurring and nonrecurring reserves to replace the federal stimulus dollars. It will also need to pay for some recurring costs using nonrecurring dollars.

After reviewing the figures for the upcoming year, Vice President Shuman presented a number of accomplishments that occurred over the past year. She then moved on to talk about initiatives that would be funded during the upcoming year.

Vice President Shuman clarified that this was a required submission to the Board of Governors for potential incorporation into their budget request. She noted that this plan would show UNF’s proposed three-year and five-year capital requests, which were in line with university goals and the master plan.

Vice President Shuman narrated the five-year plan, listing the top two priorities as: (1) utilities and infrastructure (always first on the list), and (2) land acquisition. She spoke about the remaining 10 items, noting that they included building renovations, an art gallery, the next phase of the Student Wellness Center, High Bay Facility and road improvements.

Chair Munoz asked for a MOTION for approval to forward to the full Board. The MOTION was offered and seconded. The MOTION was approved as presented.